Chart of the Week – Rising Yield of the T-Bills

treasurybills_blog_chartoftheweekFor this Chart of the Week we have a look at the Average Yield for Treasury Bills for January – August 2013. Looking at the chart take note of the increase in yield that has taken place since the launch of the National Debt Exchange (NDX) or JDX2.

Treasury Bills are a type of Government security, which are purchased or sold in open market operations (OMOs). They are used to influence the level of liquidity in the financial system, the volume of credit and the level of interest rates  according to the information on the Bank of Jamaica website.

In cased you missed it check out Aubyn Hill’s feature in today’s Gleaner where he speaks about the impact the National Debt Exchange (NDX) has had on Treasury Bills and talks about the sinking NIR – “Slippage In NDX Savings And The Sinking NIR”.